Search form

Content: 

TimeValue Software Blog

GASB 96 Present Value Calculation

By Martel Pellerin

The Government Accounting Standards Board (GASB) issued Statement No. 96, guidance on the accounting and financial reporting for subscription-based information technology agreements (SBITAs). This statement established that a SBITA results in a right-to-use asset and a corresponding subscription liability.

Read More

Lease Accounting Regulations

By Martel Pellerin

The new Lease Accounting Regulations (ASC 842) require organizations that lease assets, or “Lessees” to recognize the assets and liabilities of those leases on their balance sheets. Most leases, including most operating leases, are now capitalized on the balance sheet.

Read More

Economic Injury Disaster Loans (EIDL)

By Martel Pellerin

One of our customers made this comment “How can I create a cash basis amortization schedule on an EIDL? Firm received EIDL loan and did not make payments for the past year. Under cash basis rules, I believe 100% of the first payments will be interest until the back interest is paid. Thank you, you'll have a lot of EIDL questions in the future. Consider making a blog post guide on how to run the calcs.”

Read More

GASB 87

By Martel Pellerin

The Government Accounting Standards Board (GASB) issued Statement No. 87, Leases. This replaces the previous lease accounting methodology and establishes a single model for lease accounting based on the foundational principle that leases are a financing of the right to use (RTU) an underlying asset. Following are highlights from GASB Statement No. 87 – Leases (ca.gov).

Read More

Constant Yield Method for Bond Amortization

By Martel Pellerin

TValue software is an excellent tool to calculate the discount or premium amortization of a bond. The Internal Revenue Service requires you to use the “constant yield method” to amortize bond premiums or discounts, which is the excess or discount of the bond price over face value. You pay the bond price and, if you hold the bond until maturity, you receive the face value. This creates a loss or gain, but you can’t deduct the loss or gain all at once. Instead, you amortize the bond over its remaining lifetime to expense part of the loss or book income each year. The amortized amount reduces or increases the interest income you receive for investing in the bond.

Read More

Archive